Beware Of Fraudulent Schemes Related To Disaster Help
Release Date: October 9, 2005
Release Number: 1606-026
» More Information on Texas Hurricane Rita
AUSTIN, Texas -- State and federal officials are asking everyone to be alert for fraud in the wake of Hurricanes Katrina and Rita.
The U. S. Department of Homeland Security's Federal Emergency Management Agency (FEMA) and the Texas Governor's Division of Emergency Management (GDEM) urge people who encounter a fraudulent scam to report it to their local law enforcement, the Attorney General's Office of Consumer Protection at 800-337-3928 , or FEMA's Disaster Fraud Hotline at 800-323-8603 .
Officials warn Texans to beware of suspected criminal activity involving disaster assistance programs.
"I'm sad to say that even in times of disaster and this much loss, there are some people who try and take advantage of, and exploit the help that is out there for people who really need it," said Tom Davies, FEMA's federal coordinating officer for Rita recovery operations in Texas . "We intend to turn over every report of fraudulent activity to law enforcement for investigation and prosecution.
State Coordinating Officer Frank Cantu said, "The State of Texas will not tolerate anyone trying to cheat or defraud our citizens. This kind of activity during a time of disaster recovery will be sought out and stopped."
Individuals affected by the disaster should be aware of the following:
- No legitimate FEMA or other government inspector, telephone operator or staff will ever ask a disaster assistance applicant for money, their bank account PIN number, or other compensation for taking an individual's application. (However, if applicants want their assistance funds to be electronically deposited into their bank account, they will have to provide a bank account and bank routing number to the operator taking their call. Applicants should only provide this information when they have initiated the call to the FEMA teleregistration number.)
- The ONLY ways to apply for disaster assistance from FEMA is by calling the toll-free teleregistration number at 800-621-FEMA or by logging onto www.fema.gov . If someone gives you a form they claim is for FEMA, report it immediately to FEMA's Disaster Fraud Hotline listed above.
- Anyone attempting to receive disaster assistance when their home or apartment was not damaged during Hurricane Katrina or Rita will be aggressively pursued and charged by policing agencies. Anyone can make an anonymous report by calling the Fraud Hotline at 800-323-8603 , faxing to 202-254-4295 or emailing the inspector general at dhsoighotline@dhs.gov.
- Never sign a blank contract. Get any agreement in writing, and make sure the contract covers all the work to be accomplished, all other costs, a payment schedule and who is responsible for obtaining necessary permits.
- Don't give anyone an advance payment in cash, and make sure your payment schedule is clearly spelled out in your contract.
- Be suspicious of anyone who offers to increase the amount of your disaster damage assessment.
- Be leery of offers to help you fill out loan or grant forms for a fee. If you need help filling out your U. S. Small Business Administration (SBA) loan package, call the SBA toll-free number at 800-366-6303 or the FEMA Helpline at 800-621-3362 (TTY 800-462-7585 ) or visit a Disaster Recovery Center .
- FEMA does not endorse individual loan companies or contractors, so be wary of any business that claims it has governmental support.
- It is always wise to read carefully any document, application, voucher or other paper related to disaster assistance. If you have any questions about the legality of a document claiming to come from FEMA, call the Helpline.
FEMA prepares the nation for all hazards and manages federal response and recovery efforts following any national incident. FEMA also initiates mitigation activities, trains first responders, works with state and local emergency managers, and manages the National Flood Insurance Program and the U.S. Fire Administration. FEMA became part of the U.S. Department of Homeland Security on March 1, 2003.
Last Modified: Monday, 17-Oct-2005 06:59:09